Broadband penetration as an economic growth accelerator

摘要

Under the present economic recession, much discussion is made regarding income increase. New technologies and broadband communications in particular can yield comparative advantages in countries. Based on the assumption that income increase is related to broadband penetration, a Granger causality test is applied in 86 countries worldwide. The causality case is tested separately over developed and developing countries, according to their level of broadband penetration. The analysis is aimed to examine the relationship (one-way or bidirectional) between gross national income per capita and broadband penetration level.